Cape EMS Berhad for the third quarter reported a revenue of RM141.95 million, which marks an increase of 4% from RM135.98 million in the corresponding quarter last year this was despite facing a volatile global market environment and weaker USD against MYR.
CEB's profitability, however, was impacted primarily by a reduced gross profit margin due to customers' cost down for industrial and consumer electronic products, unrealised foreign exchange loss of RM12.6 million due to strengthening of the Malaysian Ringgit, amortisation of intangible assets of RM4.4 million as well as the impairment loss on trade receivables of RM2.2 million during the current quarter. As a result, the Group recorded a loss before tax of RM22.4 million for Q3 FY2024, while Loss After Tax stood at RM19.1 million.
For the nine-month period ended 30 September 2024 ("9M FY2024"), the Group reported a revenue of RM462.99 million, an increase from RM395.10 million in 9M FY2023, marking a growth of 17.2%. This growth was largely driven by consistent contributions from both the industrial and consumer electronic segments, as well as strategic efforts to expand market reach and integrate new capabilities. PBT for 9M FY2024 was RM7.8 million, while PAT for 9M FY2024 was RM3.5 million.
Christina Tee Kim Chin, Managing Director and Group Chief Executive Officer of Cape EMS Berhad, said, "Our year-over-year revenue growth in Q3 FY24 is a clear indication of our resilience in a competitive operating landscape. The successful integration of iConn Inc. has not only enhanced our service offerings but has also positioned us well to adopt an asset- light manufacturing model. Moving forward, we will continue to prioritise innovation, operational efficiency, and a strategic focus on expanding into green technology solutions, particularly in battery pack manufacturing, which aligns with our long-term commitment to sustainability."
Looking ahead, the group said it remains committed to improving operational efficiency, with focused initiatives to mitigate rising costs. CEB remains cautiously optimistic as it navigates a dynamic global environment shaped by geopolitical and economic uncertainties. "
